EA1.

Jagadison Co. leases computer equipment to customers under sales-type leases. The equipment has no residual value at the end of

Olegator [25]

Answer:

$360,308

Explanation:

The computation of the total amount of interest revenue is shown below:

But before that we have to determine the annuity payment per year which is

Annuity payment per year is

= Fair value ÷ PVIFA for 10% for 5 years

= $991,692 ÷ 5.868

= $169,000

Now Total payments for eight years is

= $169,000 × 8

= $1,352,000

So, the amount of interest revenue is

= Total payments made for eight years - Fair value

= $1,352,000 - $991,692

= $360,308

8 0

3 years ago

tina is the sole owner of tina's lawn mowing, incorporated (TLM). In one year TLM collects $1,000,000 from customers to mow thei

Arisa [49]

Answer: See explanation

Explanation:

This is the remainder of the question:

How much does this economic activity contribute to GDP, NNP, National income, compensation of employees, Proprietors' Income, corporate profits, personal income, disposable personal income?

a. GDP – $1,000,000

The GDP is the value for the goods and services that a country sells. To loan customers lawns, Tina collects $1,000,000.

b. NNP – $875,000

NNP = GDP - Depreciation

= $1000000 - $125000

= $875000

c. National income – $875,000

d. Compensation of employees- $600,000

This is the amount paid by the company to its workers for work done as wages and salaries.

e. Proprietors’ income – $0

Because it is a Corporation, this will be $0.

f. Corporate profits – $275,000

This will be:

= $50,000 + $150,000 + $75000

= $275000

g. Personal income – $750,000

= NNP + Dividend - Profit

= $875000 + $150000 - $275000

= $750000

h. Disposable personal income – $550000

= $750000 - $60000 - $140000

= $550000

4 0

3 years ago

This year, the Tastee Partnership reported income before guaranteed payments of $161,500. Stella owns a 40% profits interest and

Aloiza [94]

Answer

The answer and procedures of the exercise are attached in the image below.

Explanation

Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.

5 0

3 years ago

Mars Inc. produces 100,000 boxes of Snickers bars which sell for $4 a box. If variable costs are $3 per box, and it has $150,000

IceJOKER [234]

Answer:

It should continue the production in the short-run.

Explanation:

Given the unit produced by Mars Inc. = 100000 boxes.

The selling price of boxes = $4 per box.

The variable costs = $3 per box.

The fixed costs = $150000

The total sales revenue = number of boxes × selling price

= 100000 × 4

= $ 400000

In the short run, the firm should continue its production because it still covers the variable costs.

8 0

3 years ago

Land was acquired in 2021 for a future building site at a cost of $41,500. The assessed valuation for tax purposes is $28,200, a

alexira [117]

Answer:

The land should be reported in the financial statements at $41,500

Explanation:

The company will report the asset value in the financial statements as their original purchase price of $40,300. Under Historical cost principle, the price of an asset on the balance sheet is always based on the original cost when the company purchased the asset. It follows the Generally Accepted Accounting Principles (GAAP) which is widely accepted. Therefore the land is reported in the financial statements at its purchase value of $41,500

8 0

3 years ago